Citi Downgrades Cedar Fair (FUN) to Neutral, 'Weak Visitation Continues into the Summer', Open Catalyst Watch

Citi analyst James Hardiman downgraded Cedar Fair (NYSE: FUN) from Buy to Neutral with a price target of $41.00 (from $50.00).

• Opens 90-day Downside Catalyst Watch

The analyst comments "We are downgrading Cedar Fair from Buy to Neutral and lowering our price target from $50 to $41. We came into last year and then again this year with a thesis that regional theme parks, while facing material pressure from their low-to-middle-income consumers as they get squeezed by inflation, should in turn see a benefit at the high-end as more affluent consumers begin to trade down, balking at more expensive destination vacations. While the former trend appears to have played out, we have not seen any offsetting trade downs, the net result being disappointing visitation trends for much of last year and the threat of yet another miss on the attendance line in 2Q. And so while we continue to like the management team, love the assets, and believe in the long-term opportunity, we are going to the sidelines until expectations better reflect what we are shaping up to be lackluster trends in late spring/early summer"

For an analyst ratings summary and ratings history on Cedar Fair click here. For more ratings news on Cedar Fair click here.

Shares of Cedar Fair closed at $39.65 yesterday.

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